For quality referrals, communication is key

In last week's issue of his wonderful e-zine "Winning Without Intimidation," Bob Burg made a point that is absolutely central to a successful referral strategy:

When it comes to effective communication, the onus is always on "us" to be sure the other person understands our point/want/need. I related the story of the wise mentor who told me, "Burg, when the shooter misses the target, it ain't the target's fault." We can't expect others to put that burden of understanding on themselves.

Along the same lines, when you don't get the referrals you want from your clients, it ain't the clients' fault.  FAs tend to think of referral marketing as a reactive method, but that is a deadly mistake. If you do what most advisors routinely do—that is, hand off control of the referral process to your referral sources—you are highly unlikely to get the prospects you really want. 

In most cases, other people don't know what your "ideal client" looks like.  They don't understand your business—nor should you expect them to understand it, even if you've worked hard to educate them about your practice.  You have to drive the referral process by coaching your sources with very specific information about whom you'd like to meet.

You can't rely on others to hand you perfect referrals day in and day out. It simply won't happen.  To be sure, referral sources will probably surprise you from time to time by handing you great referrals, delivered with little or no coaching from you at all.  That's terrific—but you want great referrals ALL the time. So if you seem to keep missing the target, maybe it's time to adjust your shooting technique.

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